Bitcoin is the best bet for cryptocurrency investors, says Wall Street trader
Bart Smith, the head of Susquehanna International Group, LLP (SIG), regarded Bitcoin as the best bet for cryptocurrency investors in an interview with CNBC.
Smith, also known as the Wall Street’s crypto king, says, “If you want to own the asset that you can actually use today and that people are functionally using, it’s bitcoin.”
As at the time of writing the price of bitcoin is $6,312.36 with a market cap of $108 billion. With more and more applications being made to the SEC, bitcoin ETFs and futures seem right around the corner but the regulatory clarity is yet to be established around them.
Last October in 2017, when Bitcoin futures were announced, people got very excited about the bitcoin, as well as other tokens and their applications such as smart contracts, DAO, decentralized apps etc. Smith says, “we got way ahead of ourselves” and “have been grinding back down” since then.
He further mentions that technological advancements such as smart contracts and lightning network aren’t going to be mainstream anytime soon, but “the use case of bitcoin is valid today. It is a currency of the internet.”
The use cases of Bitcoin are practical today and that gives it a huge competitive advantage over other currencies. According to Smith, this is what will prevent bitcoin from losing its value as compared to other currencies and tokens.
Sending money as cross-border transactions is one of the most beneficial and impressive use cases which makes it much easier for remittances to take place rapidly.
“There are a lot of people in this world who work in one country and send money back to a different country. And they use Western Union, they use traditional banks which is slow and expensive, and people can stop you from sending that money. With bitcoin, I can send money, it’s fast, it’s cheap and frankly, no one can stop me,”, Smith says.
Last but not the least, he also pointed out how bitcoin has become the reserve currency of the Internet. This is happening as most of the trading volume comes from outside the U.S wherein people are exchanging bitcoin to buy other crypto assets, which then makes it a reserve currency for a lot of people.